The loan arranger santa fe commercial2/21/2024 World Media Enterprises president Douglas Hiemstra will closely oversee the transition and operations of the acquired newspapers for Berkshire Hathaway. A transition will take place over several months, in coordination with Media General personnel. The newspaper transaction is expected to close on June 25. "Longer term, we have a solid plan for significantly increasing our broadcast cash flow margins and total company EBITDA," said Mr. Retransmission fees are expected to reach $32-37 million, compared with $21 million last year, as a result of rate increases in renewed agreements. Super Bowl revenues on its eight NBC stations were strong and the company expects Summer Olympics revenues will be strong as well. The company expects to generate $40-45 million in political revenues and will benefit from operating in the key battleground states of Ohio, Florida, Virginia and North Carolina. Morton said Media General is capitalizing well on this year's event-driven revenue opportunities in broadcast. Broadcast television accounted for 77 percent of total Platform Cash Flow for the full year 2011 in the first quarter of this Political year, it accounted for 87 percent. Media General said that in recent years its model has shifted toward its broadcast and digital businesses. Our new credit agreement addresses Media General's long-term capital needs and provides the company with significant financial and operating flexibility," said Mr. "We are extremely pleased to enter into a new financing partnership with the highly respected Berkshire Hathaway organization. This single transaction for virtually all of our newspapers accelerates the timing of our strategy to focus on our broadcast television business and its future growth opportunities, including digital content and Mobile DTV," said Mr. We're very happy that our newspapers will become part of Berkshire Hathaway's BH Media Group, a company with a strong commitment to local news leadership and community engagement. Morton, president and chief executive officer of Media General, said, "Selling our newspapers represents a monumental change for us. ![]() "The many locales served by the newspapers we are acquiring fall firmly in this mold and we are delighted they have found a permanent home with Berkshire Hathaway." "In towns and cities where there is a strong sense of community, there is no more important institution than the local paper," said Warren Buffett, Chairman of Berkshire Hathaway. A sister company of the Omaha World-Herald Company, World Media Enterprises, Inc., will manage the Media General newspapers. The Media General newspapers will be part of BH Media Group, along with the Omaha World-Herald Company newspapers. "We are honored to have the opportunity to work with our new colleagues as we continue to produce top-notch news and advertising products in both print and digital platforms." "These newspapers are great institutions and powerful brands in their respective markets," said Terry Kroeger, president of BH Media Group. The newspapers also have a substantial commercial printing business. The newspapers being purchased by BH Media Group include 63 daily and weekly titles in Virginia, North Carolina, South Carolina and Alabama, in addition to digital assets, including websites and mobile and tablet applications. In addition, Berkshire Hathaway has the option to nominate a director to Media General's Board of Directors. In conjunction with this, Media General will issue Berkshire Hathaway penny warrants for approximately 4.6 million Class A shares, which represents 19.9 percent of Media General's existing shares outstanding. ![]() The new loan will be used to fully repay the company's existing bank debt due March 2013 and will mature in May 2020. ![]() Under a separate credit agreement, Berkshire Hathaway will provide Media General with a $400 million term loan and a $45 million revolving credit line. Media General said it is in discussions with other prospective buyers for its Tampa print assets. A subsidiary of Berkshire Hathaway, BH Media Group, will purchase all of the newspapers owned by Media General, with the exception of the Tampa group, for $142 million in cash. (NYSE: MEG) today announced that it has signed agreements with Berkshire Hathaway, Inc., (NYSE: BRK.A and BRK.B) for the purchase of newspapers and new financing. RICHMOND, Va., /PRNewswire/ - Media General, Inc.
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